Angry parents yesterday ripped Albany for putting the teachers union before kids, as lawmakers moved to block the expansion of charter schools — jeopardizing New York state’s bid to win $700 million in federal education funds.

“What this fight is really about is power and money,” Clark said. “The legislators are afraid of the unions.”

The deadline is today for the state to apply for the federal “Race to the Top” cash — and lawmakers still had not reached an agreement on how to revamp the charter law to put New York in the best possible position to nab the funds. Talks at the Capitol were expected to continue today, with the application deadline looming at 4:30 p.m.

“We don’t need those Albany lawmakers if they’re not helping us. They’re not treating us fairly. They’re not giving us an equal opportunity,” said Kaba, 43, a Monroe College librarian.

Cynthia Eytina, who lives in Harlem with sons Skye, 8, and Taj, 6, who both attend a traditional public school, said, “It’s very stressful that legislators would put more restraints on the system when it’s already tough to get into a charter school.”

But in practice, the bill would actually try to restrict charters by making the union-friendly Board of Regents — appointed by the Legislature — the main authorizer of new charters.

That amendment would restrict the role of the more charter-friendly State University of New York and take away city Schools Chancellor Joel Klein’s power to propose new schools, charter supporters say.

The measure would also give public schools veto power in allowing charters to share their buildings, and add other onerous building requirements, charter advocates charge.

Both Gov. Paterson and Mayor Bloomberg said those provisions imperil the state’s chances of being awarded up to $700 million in Race to the Top funds offered by President Obama.

In a fiery speech commemorating Martin Luther King Jr. Day at City Hall, Bloomberg said the Albany charter-school plan amounts to an “insult” to the civil-rights leader’s legacy.

“Parents have every right to be furious,” the mayor said. “Dr. King told us that a right delayed is a right denied, and this bill would continue to deny those children the quality school options that they deserve.”

Paterson has his own proposal to boost the number of charters to 460, without restrictions.

Submitting a proposal that restricts charters “would be like shooting ourselves in the foot,” Paterson said yesterday.

Last night, as he scolded lawmakers after they failed to act, Paterson pointedly refused to rule out signing the Silver-Sampson bill should it pass.

“I haven’t made a final decision about that,” Paterson said, adding later,